Lorillard Tobacco Co., Inc. v. A & E Oil, Inc.
United States Court of Appeals for the Seventh Circuit
503 F.3d 588 (2007)
A & E (defendant) sold cigarettes with noticeably fake tax stamps, purchased from a known counterfeit dealer, and was later found to have withheld relevant checks to that dealer well after claiming to have produced all its business records; Lorillard (plaintiff), the genuine manufacturer, sued for selling counterfeit cigarettes under the Lanham Act, and the district court granted summary judgment finding willful infringement and awarding attorneys' fees, which A & E appealed without contesting the underlying counterfeit finding.
Whether willful infringement may be determined on a summary judgment motion if the defendant's bare denials of knowledge are unsupported by evidence and inconsistent with the facts.